Argentina proposes agreements to protect its production

The Argentine government proposed to the Southern Common Market (Mercosur in Spanish) to establish a trade agreement that allows protecting employment and domestic production in the South American country, as expressed by the Foreign Ministry in a statement.

After a videoconference with delegates from Uruguay, Paraguay and Brazil, the Minister of Foreign Relations stated that “it is not a frivolous opening that exposes its production structure to external competition.”

However, Argentina was very objective in the approach of its proposal, assuring that it is not willing to close agreements with South Korea and other heavily importing countries that may affect its battered production system and the labor market. Although this reaction generated discomfort in the three countries, the tensions ceased after holding new open talks between the partners, moving away from a crisis.

For its part, the government assured that “the international economic situation presents a panorama of uncertainty, with downward indicators in developed economies and a sharp drop in trade.”

Also asserting that “Mercosur must be connected to the world, with investment flows, technology transfer and global markets, but protecting its sensitive sectors, work and the creation of added value in the region.”

K.Villarroel

Source: Finanzasdigital